In-App Purchasing Patent – Apple Legal Investigating the Issue

Late last week, several independent iOS developers woke up to a bad surprise, as a company named Lodsys threatened to sue them over the use of in-app purchasing mechanisms, which are supposedly covered by patents owned by the company. Earlier today, another wave of legal notices from Lodsys hit several indie iOS developers, including development shops such as Iconfactory, which is behind the Twitterrific app.
While Lodsys claims that its request is valid, Apple’s legal department finally decided to investigate the issue, as after all, if iOS devs start to pony up to be able to legally use Apple’s in-app purchases mechanisms, it would most likely mean the end of it.
According to The Guardian, Apple is expected to come back to its developers later this week:
Apple’s legal department is understood to be “actively investigating” claims by Lodsys, a patent holding company based in Texas, to have a claim against iPhone and iPad developers who use in-app purchase systems. So far Lodsys has served papers on about a dozen iOS developers who it says are infringing its patent 10/732,102, which it bought in 2004 from the inventor, who filed it in the 1990s, covering user interaction over a network. [...] Apple is not expected to respond to the claims, which have been passed to it by affected developers, until later this week.
Lodsys’s actions have sparked an outcry amongst iOS developers, as according to the company, while Apple and others have licensed its technology, the license does not cover third-party software. As a result, Lodsys is trying to collect royalties directly from iOS developers as well.
Lodsys is currently asking iOS devs using in-app purchases to give 0.575 percent of their U.S. revenue to the company – a fairly low amount, but enough to tick off most devs, who have no choice but to use in-app purchases mechanisms in order to sell anything from their app, per the iOS Developer Program License Agreement.
» Related posts:
- Lodsys’s In-App Puchasing Patent – A Legitimate Request?
- In-App Purchases Patent Troll Threatens iOS Developers
- Apple Files for Patent to Remotely Disable iPad and iPhone, Targets Jailbroken Devices
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Categories: iPad Latest News Tags: 1990s, Apple, developer program, developers, guardian, holding company, iconfactory, InApp, indie, interaction, inventor, Investigating, ios, Ipad, iphone, Issue, legal, legal notices, mechanisms, Outcry, Patent, Patents, pony, program license agreement, purchasing, royalties, third party software
Lodsys’s In-App Puchasing Patent – A Legitimate Request?

Late last week, several independent iOS developers woke up to a bad surprise: Lodsys, a company specialized in technology-related patents, threatened to sue them over the use of in-app purchasing mechanisms, which are supposedly covered by patents owned by the company.
Lodsys’s actions sparked an outcry amongst iOS developers, which prompted the company to come out of its silence and give more details about the patent it holds. As it turns out, Lodsys’s request appears to be legitimate, as according to the company, it has licensing agreements with Apple, Microsoft and Google, for the use in-app purchases mechanisms. However, the license does not include to third-party software, and Lodsys is trying to collect royalties directly from iOS developers as well.
Lodsys expects iOS devs using in-app purchases to give 0.575 percent of their U.S. revenue to the company – a fairly low amount, but enough to tick off most devs, who have no choice but to use in-app purchases mechanisms in order to sell anything from their app, per the iOS Developer Program License Agreement.
Why going after iOS devs, instead of Apple? After all, the in-app purchases mechanism is built and promoted by the Cupertino-based company, not iOS developers, and Lodsys could ask Apple to re-negotiate the licensing agreement between the two companies to cover all iOS devs as well. Maybe it’s easier to go after independent developers who do not have a slew of lawyers to defend them seem to be much easier prays, instead of having to face Apple’s department… Regardless, it’s difficult to believe that Apple’s legal department will not eventually get involved: after all, if iOS devs start to pony up to be able to legally use in-app purchases mechanisms, it would most likely mean the end of it.
» Related posts:
- In-App Purchases Patent Troll Threatens iOS Developers
- Apple Files for Patent to Remotely Disable iPad and iPhone, Targets Jailbroken Devices
- Apple Awarded Patent for Horizontal Docking Port for iPad
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Categories: iPad Latest News Tags: apple microsoft, cupertino, developer program, devs, google, InApp, independent developers, ios, iphone, legitimate, licensing agreement, licensing agreements, Lodsys’s, mechanisms, Outcry, Patent, Patents, pony, program license agreement, Puchasing, Request, royalties, slew, third party software, Troll
Amazon Launches Appstore, Apple Sues for Trademark Infringement

Earlier today, Amazon took the wraps off of their highly anticipated Appsstore for Android. The new store is a clearing house for Andorid smartphone and tablet applications and gives users an easy way to discover, find, purchase and test Andorid based apps.
The store is the first to offer customers the ability to test applications directly from a web browser before making a purchase. This feature is unique among app stores and gives customers the opportunity to try before having to spend money on an app. Apple currently does not offer a “try” option, customers must instead rely on customer reviews, third-party website reviews or simply download free “lite” versions of an app before they buy the full version.
Amazon is further differentiating its store by offering customers a free paid app every day. The first free app is Rovio’s new Angry Birds Rio for Android. Angry Birds Rio is also available in Apple’s App Store for iPhone and iPad owners, but unlike Amazon’s free promotion, the iOS version will set you back $2.99.

Amazon’s Andorid Appstore is available to all US customers but AT&T Andorid smartphone and tablet customers are currently excluded. According to Amazon, AT&T customers “can’t install the Amazon Appstore or purchase apps from it. AT&T is working to allow customers to install the Amazon Appstore and purchase apps from it.”
Amazon’s move into the apps eco-system has raised some concerns at Apple and the company responded by suing Amazon for using the company’s “App Store” trademark without Apple’s permission. According to a report from Bloomberg, the suit accuses Amazon of referring to their new Android Appstore and associated developer program under the “App Store” moniker which will reportedly lead to confusion for both customers and developers.
Apple registered the “App Store” name and was granted the trademark from the US Patent and Trademark office earlier this year. This isn’t the first legal tussle Apple has had since the App Store name was approved. Several weeks ago, Microsoft filed to have Apple’s trademark dismissed for being too generic a term. The case remains under review by the USPTO.
Apple opened its App Store in July, 2009 approximately a year after the iPhone first launched. Originally Apple had no plans for an App Store as third-oparty application development was restricted to web based apps. Only after developers and consumers pushed the Cupertino company to open the device to third-party development did they put an end-to-end developer eco-system and App Store in place.
Now every major electronics vendor has jumped on the App Store bandwagon to help create a vibrant app eco-system around their own electronic gadgets.
» Related posts:
- Hong-Kong Screen Manufacturer Sues Apple over iPad Trademark
- Motorola Sues Apple over Patents Infringement on iPad and iPhone
- Amazon Releases New iPad Mobile App
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Categories: iPad Latest News Tags: amazon, amp, Apple, appstore, birds, clearing house, confusion, developer program, eco system, free promotion, Infringement, ios version, ipad owners, iphone, launches, moniker, patent and trademark office, rio, rovio, smartphone, Sues, Trademark, us patent and trademark, us patent and trademark office, web browser, wraps
Apple’s AirPrint Coming to iPads this November
Apple announced today that the iPad’s new wireless printing feature, found in iOS 4.2, has been renamed “AirPlay” and will be available this November on HP’s ePrint ready printers.
Steve Jobs demoed wireless printing on the iPad during Apple’s special media event last month and said it was one of the top new features iPad users could expect with the rollout of iOS 4.2 for the iPad. The feature allows users to find and select a printer on a wireless network and then seamlessly print photos, e-mails, documents or webpages to a printer without the need to install any drivers or special software. “AirPrint is Apple’s powerful new printing architecture that matches the simplicity of iOS—no set up, no configuration, no printer drivers and no software to download,” said Philip Schiller, Apple’s senior vice president of Worldwide Product Marketing.
HP is embracing Apple’s new AirPrint technology and is providing full support for the feature in their current and future ePrint inkjet and laser printers. HP is the first company to support the new iOS feature and they plan to have the feature ready in time for the holiday shopping season.
AirPrint will be available for iPads, iPhones and iPods running iOS 4.2 beginning this November.
Full Apple Press Release:
Apple’s AirPrint Wireless Printing for iPad, iPhone & iPod touch Coming to Users in November
Available First on HP ePrint Printers
CUPERTINO, California—September 15, 2010—Apple® today announced that it is releasing a beta version of its AirPrint wireless printing for iPad™, iPhone® and iPod touch® to members of Apple’s iOS developer program today, and that AirPrint will be included in the free iOS 4.2 software update in November. AirPrint automatically finds printers on local networks and can print text, photos and graphics to them wirelessly over Wi-Fi without the need to install drivers or download software. HP’s existing and upcoming ePrint enabled printers will be the first to support printing direct from iOS devices.
“AirPrint is Apple’s powerful new printing architecture that matches the simplicity of iOS—no set up, no configuration, no printer drivers and no software to download,” said Philip Schiller, Apple’s senior vice president of Worldwide Product Marketing. “iPad, iPhone and iPod touch users can simply tap to print their documents or photos wirelessly to an HP ePrint printer or to a printer shared on a Mac or PC.”
“We’re pleased to work with Apple to bring Apple’s AirPrint to our fall lineup of ePrint printers in time for the holiday shopping season,” said Vyomesh Joshi, HP executive vice president, Imaging and Printing Group. “Making it easy for our customers to print anytime, anywhere, is a key priority for HP. iPad, iPhone and iPod touch customers are going to love how easy it is to print using our new range of ePrint printers, creating high-quality printed pages in an instant.”
AirPrint is designed to support a wide range of printers from entry level inkjet printers to office laser printers. Additionally, iOS 4.2 devices can print to printers shared through a Mac® or a PC. iOS 4.2 compatible HP printers this fall include the HP Photosmart, Officejet, Officejet Pro and LaserJet Pro series ePrint enabled printers.
*AirPrint will work with iPad, iPhone 4, iPhone 3GS and iPod touch (second generation and later).
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iOS 4.2 for iPad Almost Ready, Early Releases Under Testing
As noted by MacRumors earlier today, some iOS developers seem to already have access to early releases of iOS 4.2 for the iPad. For example, Epic Games, the creator of the impressive Epic Citadel demo, released an update of the app over the weekend, and the notes coming with the new version contain an interesting tidbit:
Fixed performance issues on iPad devices running iOS 4 or later.
Given that iOS 4 will not land on the iPad until November, it is clear that some “select” developers have been working closely with Apple’s iOS development team and gained access to early versions of iOS 4.2 for iPad, in order to test the OS, and make sure their apps are compatible with it. Since Epic was featured during the Apple keynote earlier this month, it is very likely that Apple provided early iOS 4.2 builds to Epic to support its efforts to demo its Unreal Engine for iOS, weeks before the OS is actually pushed to the general developer program.

This preferential treatment is not unusual, and is usually limited to developers featured in the Apple media event. But this also means that testing builds of iOS 4.2 will likely be released to the developers community very soon, as it seems mature enough to be used by apps like Epic Citadel.
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Categories: iPad Latest News Tags: Almost, apple media, apps, Citadel, demo, developer program, developers, Early, epic games, interesting tidbit, Ipad, ipad devices, performance issues, preferential treatment, Ready, Releases, Testing, Under, unreal engine
Apple Now Welcomes iOS Third-Party Development Tools
Apple announced today that its ban on third-party development tools for its iOS-based line of devices was lifted. According to Apple’s statement, apps built using these tools will be approved as long as they do not need to download any external code once installed on the device, and as long as they meet the other requirements currently in place for any iOS app.
The updated iOS Developer Program License includes significant changes to the sections specifically related to third party tools, and some of the restrictions that were put in place earlier this year when the Adobe vs. Apple feud was at its peak have been completely removed.
The complete statement is available below:
The App Store has revolutionized the way mobile applications are developed and distributed. With over 250,000 apps and 6.5 billion downloads, the App Store has become the world’s largest mobile application platform and App Store developers have earned over one billion dollars from the sales of their apps.
We are continually trying to make the App Store even better. We have listened to our developers and taken much of their feedback to heart. Based on their input, today we are making some important changes to our iOS Developer Program license in sections 3.3.1, 3.3.2 and 3.3.9 to relax some restrictions we put in place earlier this year.
In particular, we are relaxing all restrictions on the development tools used to create iOS apps, as long as the resulting apps do not download any code. This should give developers the flexibility they want, while preserving the security we need.
In addition, for the first time we are publishing the App Store Review Guidelines to help developers understand how we review submitted apps. We hope it will make us more transparent and help our developers create even more successful apps for the App Store.
The App Store is perhaps the most important milestone in the history of mobile software. Working together with our developers, we will continue to surprise and delight our users with innovative mobile apps.
This decision should please the developers who used to rely on third party tools to help them build their apps. As for Adobe, one of the main targets of these restrictions, it is still unclear whether Apple will allow the conversion of Flash applications to iOS. However, with the new guidelines in place, there seems to be no valid reason for Apple to reject these apps any longer.
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Categories: iPad Latest News Tags: adobe, Apple, developer program, developers, Development, flexibility, heart, milestone, mobile application platform, mobile applications, mobile software, one billion dollars, party development tools, third party development tools, third party tools, ThirdParty, Tools, Welcomes









